HC Deb 02 May 1939 vol 346 cc1677-80
34. Lieut-Colonel Sir Mervyn Manningham-Buller

asked the President of the Board of Trade whether he is aware that New Zealand has prohibited imports of boots and shoes; and, in view of this prohibition, what steps he proposes to take bearing in mind the terms of the Ottawa Agreement?

38 Sir John Wardlaw-Milne

asked the President of the Board of Trade

  1. (1) what action he has taken in connection with the restriction of imports into New Zealand, and what effect this measure will have upon the export trade of this country;
  2. (2)whether he is aware of the serious effect upon the carpet industry in this country which will result from the prohibition of the import of British carpets into New Zealand; and what action is he taking in the matter;
  3. (3)whether he will make an urgent protest to the New Zealand Government against the proposed prohibition of British 1678 imported manufactures, in view of the fact that the balance of trade with this country is about £27,000,000 in favour of New Zealand?

43. Mr. Lyons

asked the President of the Board of Trade whether, in the interests of British trade, he will make representations to the Government of New Zealand on behalf of the British boot, shoe and hosiery trades with reference to the recent decision which excludes such products made in this country; and what discussions took place prior to this decision?

Mr. Stanley

I am aware that the Government of New Zealand have announced that extensive restrictions will be placed on the importation of many classes of goods during the second half of this year, and that the importation from all sources of carpets, most classes of boots and shoes, and hosiery will be prohibited during that period. The New Zealand Minister of Finance has stated that the import reductions made in the first half of the year were partly offset by the admission of goods previously ordered and by the importation of plant and materials for local manufacture, and that, if a substantial reduction was to be made for the whole year, it would accordingly be necessary to make greater reductions for the second half. He expressed the hope, however, that considerable relaxation of the restrictions would be possible next year. I have not yet received sufficient information in regard to these restrictions to enable me to make a reliable estimate of their effect on the United Kingdom export trade to New Zealand, though it is clear that it will be serious. The whole situation is under consideration, and the House will no doubt have been glad to see the announcement that Mr. Nash, the New Zealand Minister of Finance and Customs, proposes to visit this country early in June to discuss, amongst other subjects the effect of the New Zealand import restrictions on trade between the United Kingdom and the Dominion.

Sir J. Wardlaw-Milne

In the circumstances, is it not possible for the Board of Trade to make representations to New Zealand in order to mitigate the hardship which will be caused to British trade by this complete prohibition? Is it possible to suggest to them that if there have to be some reductions, absolute prohibition should not be introduced, in view of the very serious effects?

Mr. Stanley

Of course, I hope to have an opportunity for a talk myself with Mr. Nash. I shall certainly represent to him the serious effect of this on British industry, and I have no doubt he will do whatever he can to meet me and mitigate the position.

Mr. W. Roberts

Is it not a fact that we recently cut the imports of New Zealand food products into this country, and that the New Zealand Government offered last year to increase British manufactured imports into New Zealand provided we would accept more of theirs?

Mr. Stanley

It is quite true that, as a result of the British Meat Council's decision, an Order was passed restricting the importation of mutton and lamb from Australia and New Zealand. The amount of the cuts is infinitesimal, and bears no relation whatever to the amount of the cuts which have been imposed on British imports into New Zealand.

Sir M. Manningham-Buller

Is it in accordance with the terms of the Ottawa Agreement?

Mr. Lyons

In view of the fact that we receive readily all the exports from New Zealand without any taxation at all, could not representations be made to Mr. Nash pointing out the serious situation which must arise?

Mr. T. Johnston

Is the right hon. Gentleman not aware that, despite this

Description. Year.
1934. 1935. 1936. 1937. 1938.*
1,000 1,000 1,000 1,000 1,000
Oils, etc.— gallons. gallons. gallons. gallons. gallons.
Mineral crude petroleum 476,006 488,516 511,744 527,267 567,953
Oils, refined—
Petroleum—
Kerosene 221,493 191,963 213,149 218,360 205,242
Motor spirit 1,125,881 1,231,035 1,268,143 1,350,204 1,457,757
Spirit, other than motor spirit. 19,757 16,132 18,874 15,755 18,097
Lubricating oil 103,372 103,403 117,943 120,801 108,198
Gas oil 130,493 107,877 109,019 139,642 157,926
Fuel oil 668,432 655,353 677,525 701,914 686,864
Other sorts 1,070 460 438 809 1,438
* Provisional.

temporary interruption of New Zealand trade, New Zealand, per head of population, is still our best customer; and is he aware that part of New Zealand's difficulties are occasioned by financiers in the City?

Mr. Stanley

It is quite true that New Zealand has always been an excellent customer for British goods. I do not want to see any interruption of that position, and it is for that reason I am anxious to have these conversations with Mr. Nash. I think it would be unwise to anticipate any statement I may make then.

Mr. Malcolm MacMillan

Is it in order for supporters of His Majesty's Government to make propaganda attacks upon the financial stability of a friendly Government?